Croatian public debt crawling towards safety

Croatia’s public debt is, slowly but surely, continuing to fall. Figures released show that at the end of July this year the public debt was down by 2.5 billion Kuna or around 337 million Euros, however the total debt is still 281.6 billion Kuna, or around 38 billion Euros.

According to the government, the state budget is exposed to up to 4.3 billion kuna (€579 million) in possible liabilities related to the cancelled projects of the failing Uljanik Group, which is about 1 percent of the country's GDP.

By the end of this year, some 2.3 billion kuna (€310 million) in state-issued bank guarantees, including interest and fees, are likely to be activated and collected over the Pula-based company's inability to deliver ordered ships.